Avigilon announced on Thursday that it has acquired the entire patent portfolio and patent licensing program of ObjectVideo for $80.3 million.
ObjectVideo’s video analytics patents are licensed and deployed by IP video manufacturers around the world. Under the acquisition, Avigilon has acquired all of ObjectVideo’s 76 U.S. and international patents and over 50 U.S. and international patent applications. In addition to the foregoing, until Jan. 31, 2015, ObjectVideo will continue to generate additional U.S. patent applications, and has agreed to transfer any and all such applications to Avigilon for no additional consideration.
With the completion of the acquisition, Avigilon now holds 124 U.S. and international patents, and 202 U.S. and international patent applications.
“The future of the video surveillance industry is in video analytics,” said Alexander Fernandes, founder, president, CEO and chairman of the board, Avigilon. “The acquisition not only bolsters Avigilon’s portfolio of intellectual property, but it also brings with it a recurring royalty revenue stream.”
Nineteen royalty-paying licensees have joined the program, including Sony, Panasonic, Bosch Security Systems, Hikvision, Pelco, FLIR Systems, Sensormatic Electronics (Tyco), and more.
“The acquisition opens new doors for Avigilon, provides us with additional freedom to operate, and greatly strengthens our intellectual property portfolio,” said Fernandes. “It positions Avigilon to continue leading the way into the future of the video surveillance industry.”
In a statement, ObjectVideo said that it will continue to leverage its technical talent to deliver next-generation computer vision technology to commercial and government clients and invest in its sixth generation software product.
“From its founding, ObjectVideo has aimed to lead innovation in the world of video analytics, so it is very rewarding to see Avigilon, a global market leader in security, recognize our significant contributions to the field,” said Raul Fernandez, chairman and CEO of ObjectVideo. “This transaction marries a deep and highly valuable patent portfolio to the fastest growing solutions provider in the video security industry. The union creates a unique and incredibly well positioned company.”